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that were contained in that form provided:
Step 2--Are you Exempt From Withholding?--You are
exempt from withholding ONLY if:
1. Last year you did not have any Federal income tax
liability; AND
2. This year you expect to have no Federal income tax
liability.
Important Change in the Law.--If you can be claim-
ed as a dependent on another person’s tax return (for
example, on your parent’s return), you may not be
exempt. You cannot claim exempt status if you have any
nonwage income, such as interest on savings, and expect
your wages plus this nonwage income to add up to more
than $500.
If you are exempt, go to line 6 of Form W-4 and
complete the appropriate boxes. Your exempt status
will remain in effect until February 15 of the next
year. If you still qualify for exempt status next
year, complete and file a new form by that date.
On June 28, 2000, Mr. Lawrence received a letter from
petitioner in response to Mr. Lawrence’s June 20, 2000 letter.3
In that letter, petitioner stated:
First let me say thank you for your assistance in my
case. I have received your letter of June 20, 2000.
Fortunately, I have found a copy of the 1987 W-4 Form
and it is not the same as 1988 as you had assumed. As
you will see, in Line 6, letter c it states, “If you
entered “EXEMPT” on line 6b, are you a full-time stu-
dent?”
Additionally, I held the same job in 1987 and for at
3The letter that respondent received from petitioner on June
28, 2000, showed a date of June 16, 2000. However, we are
convinced from that letter (1) that petitioner wrote it on a date
after June 20 and before June 28, 2000, and (2) that petitioner
mistakenly dated that letter June 16, 2000.
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